So what’s the good news? The biotech industry not only is fueling development of blockbuster treatments for tough to manage diseases, but investors in companies with strong drug pipelines can deliver very large returns when they get the green light from regulators. Still, biotech stocks — even many large caps — can be volatile, so investors need to be comfortable taking on more risk in exchange for those high-potential returns.

That said, these larger-cap biotech stocks are a little more manageable from a risk perspective, and belong in your portfolio now: